HOUSE SUMMONS MINES AND ENERGY MINISTER AND OTHERS OVER STATUS OF PUTU IRON ORE MINING DEAL
By Jeremiah Sackie Cooper
February 4, 2025
Monrovia – The House of Representatives has summoned the Minister of Mines and Energy, Hon. Wilmot Paye; the Chairman of the National Investment Commission, Hon. Jeff B. Blibo and the Minister of Justice, Hon. Cllr. N. Oswald Tweh, to provide an update on the ongoing uncertainty surrounding the operations of the Putu Iron Ore Mining Company.
The decision was made by the plenary of the House on Tuesday, February 4, 2025, following a communication submitted by Hon. Jeremiah Garwo Sokan, Sr. Representative of District 1, Grand Gedeh County.
This request comes as Grand Gedeh County continues to experience economic difficulties following the abrupt halt of operations by the Putu Iron Ore Mining Company in 2016. The company, a subsidiary of the Russian steel giant Severstal, had signed a Mineral Development Agreement (MDA) with Liberia on September 2, 2010.
However, it failed to sustain its mining activities independently and struggled to secure investment partners, leading to its withdrawal from Liberia. During a 2016 Senate session, former Minister of Lands, Mines, and Energy Patrick Sendolo confirmed the company’s exit, stating, “From all practical purposes, Putu is basically out of Liberia, but technically the MDA is still valid.”
Considering this, Hon. Sokan emphasized the urgent need for clarity on several issues, including the current status of the Putu Iron Ore Mining Deal, with a focus on the validity of the Mineral Development Agreement and any potential negotiations with new investors: economic impact Assessment, the effects of the company’s departure on employment and infrastructure in Grand Gedeh County.
Rep. Sokan also wants an update on future Investment Plans, such as strategies to attract new mining investors and restore economic activities in the region. Also, Support for Displaced Workers, measures to assist former employees of Putu Iron Ore Mining Company, infrastructure, and community development, and the status of development projects that were part of the company’s obligations before its exit were raised.
Hon. Sokan stressed the importance of ensuring transparency and accountability in handling the aftermath of Putu Iron Ore Mining Company’s departure. He urged the government to prioritize economic recovery strategies for Grand Gedeh County and address the concerns of affected citizens. Following his request, the House of Representatives has scheduled an initial appearance for Hon. Wilmot Paye, Minister of Mines and Energy, next Tuesday.
Further engagements with other officials are expected to follow as lawmakers seek a comprehensive resolution to the issue
